BOX Shares Drop 14% Over Six Months: What’s Next for the Stock?
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Dec 18 2025
0mins
Source: NASDAQ.COM
Box's Financial Performance: Box shares have declined 13.8% over the past six months, underperforming the industry and sector averages, primarily due to a tough macroeconomic environment and rising operational costs. The company reported flat gross margins and increased operating expenses, leading to a slight contraction in operating margins.
Future Expectations: For fiscal 2026, Box anticipates a gross margin of 81% and an operating margin of 28%. The company expects revenues of $1.175 billion, reflecting an 8% year-over-year growth, and non-GAAP earnings of $1.28 per share, indicating a decrease from the previous fiscal year.
AI and Product Innovations: Box is focusing on enhancing its AI capabilities with new products like Box Extract and Box Automate, which aim to improve data extraction and workflow automation. Partnerships with major tech companies are expected to bolster its AI ecosystem and drive revenue growth.
Customer Growth and Retention: Box has over 2,000 customers paying at least $100K annually, with a net retention rate of 104%. The company is investing in go-to-market initiatives, leading to a 12% year-over-year growth in billings for the third quarter of fiscal 2026.
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Analyst Views on KE
Wall Street analysts forecast KE stock price to rise
1 Analyst Rating
1 Buy
0 Hold
0 Sell
Moderate Buy
Current: 25.400
Low
32.00
Averages
32.00
High
32.00
Current: 25.400
Low
32.00
Averages
32.00
High
32.00
About KE
Kimball Electronics, Inc. is a global, multifaceted manufacturer offering electronics manufacturing services (EMS) and contract manufacturing organization (CMO) solutions. It provides electronics manufacturing services, including engineering and supply chain support, to customers in the automotive, medical, and industrial end markets. Its CMO solutions include operations such as precision molded plastics, complete device assembly, and cold chain management, which support the production of medical disposables and selected drug delivery devices such as auto-injectors. Its electronics manufacturing services include assembly, sub-assembly, soldering, and reflow. It offers full medical manufacturing solutions, such as precision plastics injection molding, sterilization services, drug delivery device manufacturing, flexible supply solutions, and regulatory compliance. Its engineering and design services include industrial design, analog circuit design, and digital circuit design.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
Kimball Electronics Q1 2026 Earnings Report Analysis
- Revenue Decline: Kimball Electronics reported Q1 2026 revenue of $352.9 million, reflecting a 5.8% year-on-year decline and missing analyst expectations of $356.3 million, indicating potential investor concerns due to weakness in automotive and industrial markets.
- Medical Segment Growth: Despite the overall revenue drop, the Medical segment showed sequential growth, with CEO Ric Phillips emphasizing its critical role in stabilizing results, suggesting strong demand in the medical market may provide a buffer for the company.
- Profitability Metrics: Adjusted EPS was $0.33, in line with expectations, while adjusted EBITDA stood at $22.83 million with a 6.5% margin, slightly below forecasts, reflecting challenges in cost management that could impact future profitability.
- Future Outlook: Management reaffirmed full-year revenue guidance of $1.43 billion, and despite market challenges, the company is actively ramping up production at the new Indianapolis facility, which is expected to enhance capacity and margins, demonstrating confidence in future growth.
See More
Kimball Electronics Q3 FY 2026 Earnings Call Insights
- Sales Growth: Kimball Electronics reported net sales of $353 million in Q3, reflecting a 3.4% increase from the previous quarter, with the medical segment growing by 10%, indicating strong demand that is expected to drive future revenue growth.
- Stable Margins: The gross margin rate for Q3 was 7.9%, with adjusted operating income at $14.8 million or 4.2% of net sales; despite facing gross margin pressure in FY '27, the company is making strategic investments to enhance operational efficiency.
- Future Outlook: The company reaffirmed its revenue guidance for FY 2026 in the range of $1.4 billion to $1.46 billion, expecting adjusted operating income margins to be between 4.2% and 4.5%, demonstrating management's confidence in future performance.
- Investment and Buyback: In Q3, Kimball Electronics repurchased 165,000 shares for $4 million, leaving $6.5 million remaining in its buyback program, indicating a proactive approach to capital allocation aimed at enhancing shareholder value.
See More
Kimball Electronics Q3 Earnings Miss Expectations
- Disappointing Performance: Kimball Electronics reported a Q3 non-GAAP EPS of $0.33, missing expectations by $0.01, indicating pressure on profitability that may affect investor confidence.
- Revenue Decline: The company’s revenue for Q3 was $352.9 million, down 5.8% year-over-year and falling short of expectations, reflecting weak market demand and increased competition that could pressure future performance.
- Fiscal Year 2026 Guidance: Kimball Electronics projects net sales for FY 2026 to be between $1.4 billion and $1.46 billion, with adjusted operating income estimated at 4.2% to 4.5% of net sales, indicating cautious optimism for future growth.
- Capital Expenditure Plans: The company plans to invest $50 million to $60 million in capital expenditures for FY 2026, aimed at enhancing production capacity and technological capabilities to support future business growth.
See More
Kimball Electronics Q3 Earnings Announcement Scheduled
- Earnings Release Date: Kimball Electronics is set to announce its Q3 earnings on May 5th after market close, with a consensus EPS estimate of $0.34, reflecting a 25.9% year-over-year increase, indicating ongoing improvement in profitability.
- Revenue Outlook Analysis: Despite the optimistic EPS forecast, the revenue estimate stands at $356.27 million, representing a 4.9% year-over-year decline, which suggests challenges in revenue growth that could impact overall market confidence.
- Historical Performance Review: Over the past two years, Kimball Electronics has beaten EPS estimates 63% of the time and revenue estimates 50% of the time, demonstrating relative stability in managing market expectations, which may bolster investor confidence.
- Expectation Revision Dynamics: In the last three months, EPS estimates have seen three upward revisions and one downward revision, while revenue estimates have also experienced three upward revisions and one downward revision, indicating some divergence in analysts' views on the company's future performance.
See More
Kimball Electronics to Report Q3 FY2026 Financial Results on May 5, 2026
- Earnings Release Schedule: Kimball Electronics has announced that it will report its third quarter fiscal year 2026 financial results on May 5, 2026, after market close, reflecting the company's commitment to transparency and investor communication.
- Conference Call Details: The company will host a conference call on May 6, 2026, at 10:00 a.m. Eastern Time to provide a detailed review of the financial results, aiming to enhance investor understanding and confidence in the company's performance.
- Webcast Access: Investors can access the live webcast of the conference call through the company’s website, ensuring that all stakeholders can receive timely key information, thereby improving interaction between the company and its investors.
- Global Manufacturing Capability: Kimball Electronics operates in the United States, China, Mexico, Poland, Romania, and Thailand, offering Electronics Manufacturing Services and Contract Manufacturing Organization solutions, showcasing its global business footprint and capability to serve multiple industries.
See More
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- Renewable Energy Increase: The company reached 37% renewable electricity, a 12% year-over-year increase, supported by expanded on-site solar and renewable energy credit procurement, aligning with its 2030 target for 100% renewable electricity.
- Zero Waste Target: Kimball Electronics achieved 92% beneficial use of waste, supporting its zero waste goal, while hazardous waste intensity was reduced by 13% from the 2024 baseline, showcasing ongoing efforts in waste management.
- Community Investment Achievement: The company achieved 115% of its annual giving target, totaling $325,000 in donations supported by over 3,050 volunteer hours, reflecting its commitment to social responsibility.
See More
Kimball Electronics Q1 2026 Earnings Report Analysis
- Revenue Decline: Kimball Electronics reported Q1 2026 revenue of $352.9 million, reflecting a 5.8% year-on-year decline and missing analyst expectations of $356.3 million, indicating potential investor concerns due to weakness in automotive and industrial markets.
- Medical Segment Growth: Despite the overall revenue drop, the Medical segment showed sequential growth, with CEO Ric Phillips emphasizing its critical role in stabilizing results, suggesting strong demand in the medical market may provide a buffer for the company.
- Profitability Metrics: Adjusted EPS was $0.33, in line with expectations, while adjusted EBITDA stood at $22.83 million with a 6.5% margin, slightly below forecasts, reflecting challenges in cost management that could impact future profitability.
- Future Outlook: Management reaffirmed full-year revenue guidance of $1.43 billion, and despite market challenges, the company is actively ramping up production at the new Indianapolis facility, which is expected to enhance capacity and margins, demonstrating confidence in future growth.
See More
Kimball Electronics Q3 FY 2026 Earnings Call Insights
- Sales Growth: Kimball Electronics reported net sales of $353 million in Q3, reflecting a 3.4% increase from the previous quarter, with the medical segment growing by 10%, indicating strong demand that is expected to drive future revenue growth.
- Stable Margins: The gross margin rate for Q3 was 7.9%, with adjusted operating income at $14.8 million or 4.2% of net sales; despite facing gross margin pressure in FY '27, the company is making strategic investments to enhance operational efficiency.
- Future Outlook: The company reaffirmed its revenue guidance for FY 2026 in the range of $1.4 billion to $1.46 billion, expecting adjusted operating income margins to be between 4.2% and 4.5%, demonstrating management's confidence in future performance.
- Investment and Buyback: In Q3, Kimball Electronics repurchased 165,000 shares for $4 million, leaving $6.5 million remaining in its buyback program, indicating a proactive approach to capital allocation aimed at enhancing shareholder value.
See More
Kimball Electronics Q3 Earnings Miss Expectations
- Disappointing Performance: Kimball Electronics reported a Q3 non-GAAP EPS of $0.33, missing expectations by $0.01, indicating pressure on profitability that may affect investor confidence.
- Revenue Decline: The company’s revenue for Q3 was $352.9 million, down 5.8% year-over-year and falling short of expectations, reflecting weak market demand and increased competition that could pressure future performance.
- Fiscal Year 2026 Guidance: Kimball Electronics projects net sales for FY 2026 to be between $1.4 billion and $1.46 billion, with adjusted operating income estimated at 4.2% to 4.5% of net sales, indicating cautious optimism for future growth.
- Capital Expenditure Plans: The company plans to invest $50 million to $60 million in capital expenditures for FY 2026, aimed at enhancing production capacity and technological capabilities to support future business growth.
See More
Kimball Electronics Q3 Earnings Announcement Scheduled
- Earnings Release Date: Kimball Electronics is set to announce its Q3 earnings on May 5th after market close, with a consensus EPS estimate of $0.34, reflecting a 25.9% year-over-year increase, indicating ongoing improvement in profitability.
- Revenue Outlook Analysis: Despite the optimistic EPS forecast, the revenue estimate stands at $356.27 million, representing a 4.9% year-over-year decline, which suggests challenges in revenue growth that could impact overall market confidence.
- Historical Performance Review: Over the past two years, Kimball Electronics has beaten EPS estimates 63% of the time and revenue estimates 50% of the time, demonstrating relative stability in managing market expectations, which may bolster investor confidence.
- Expectation Revision Dynamics: In the last three months, EPS estimates have seen three upward revisions and one downward revision, while revenue estimates have also experienced three upward revisions and one downward revision, indicating some divergence in analysts' views on the company's future performance.
See More
Kimball Electronics to Report Q3 FY2026 Financial Results on May 5, 2026
- Earnings Release Schedule: Kimball Electronics has announced that it will report its third quarter fiscal year 2026 financial results on May 5, 2026, after market close, reflecting the company's commitment to transparency and investor communication.
- Conference Call Details: The company will host a conference call on May 6, 2026, at 10:00 a.m. Eastern Time to provide a detailed review of the financial results, aiming to enhance investor understanding and confidence in the company's performance.
- Webcast Access: Investors can access the live webcast of the conference call through the company’s website, ensuring that all stakeholders can receive timely key information, thereby improving interaction between the company and its investors.
- Global Manufacturing Capability: Kimball Electronics operates in the United States, China, Mexico, Poland, Romania, and Thailand, offering Electronics Manufacturing Services and Contract Manufacturing Organization solutions, showcasing its global business footprint and capability to serve multiple industries.
See More
Kimball Electronics Releases 2025 Sustainability Report
- Climate Action Progress: Kimball Electronics achieved a 9.3% year-over-year reduction in Scope 1 and 2 emissions, advancing towards its 42% reduction target by 2030 and supporting its long-term net-zero goal by 2050, demonstrating leadership in climate change initiatives.
- Renewable Energy Increase: The company reached 37% renewable electricity, a 12% year-over-year increase, supported by expanded on-site solar and renewable energy credit procurement, aligning with its 2030 target for 100% renewable electricity.
- Zero Waste Target: Kimball Electronics achieved 92% beneficial use of waste, supporting its zero waste goal, while hazardous waste intensity was reduced by 13% from the 2024 baseline, showcasing ongoing efforts in waste management.
- Community Investment Achievement: The company achieved 115% of its annual giving target, totaling $325,000 in donations supported by over 3,050 volunteer hours, reflecting its commitment to social responsibility.
See More
